Ordinary

Extraordinary

Period Profit

2. Net Worth Composition

Subscribed Capital

Treasury Shares

Capital integral adjustment

Treasury Shares capital adjustment

Premium on Shares

Legal Reserve

Reserve for new projects

Retained Earnings

Total Net Worth

Operating results of the business segments appear solid. Revenues for the first six month period of the present fiscal year increased 46% amounting to Ps. 497 millions compared with the same period of the fiscal year 2007, while operating results increased in 35.5% amounting to 141.9 millions. EBITDA increased 37% amounting to Ps. 200 millions. Considering the rent segments (Shopping Centers, Office and Hotels) alone, EBITDA margins have improved, comparing the first six month of the present fiscal year with the first six month period of fiscal year 2007 and the last quarter with the first quarter of present fiscal year 2008.

Participation of the different segments in net revenues was as follows: sales and developments Ps. 63.0 million; offices and other lease properties Ps. 44.8 million; shopping centers Ps. 172.6 million; hotels Ps. 76.0 million; credit cards Ps. 139.9 million; and financial transactions and other Ps. 0.3 million.

The shopping center business, in which the Company experienced an excellent performance, continues to grow in surface: besides the works in progress, the Company entered into an agreement for the purchase of a shopping center known as “Soleil Factory”, located in San Isidro, Province of Buenos Aires, which will be executed when certain conditions are met.

In the Sales and Development segment the Company intends to launch in the next months the first development through its association with Cyrela Brazil Realty. In the present period, the Company sold its rights over the future development of Torre Renoir II, registering an earning of US$ 4.7 million.

In respect to the Company’s land reserves, in November 2007 the Executive Branch of the City of Buenos Aires approved the project as suggested by the Urban Planning Council (Consejo de Planificación Urbana - “COPUA”). The Company is currently evaluating the next steps to take regarding the definition and implementation of the project.

The Company has finished the expansion works in the Llao Llao Hotel, which were opened to the public at late December, 2007.

During the second quarter of the present fiscal year, the Company’s affiliate Banco Hipotecario partially offset the negative results of the first quarter, which were attributable to extraordinary issues, such as differences in the valuation of the holding of certain financial assets in portfolio at a minor market value. Business indicators continue to appear solids.

As of November 14, 2007, holders of convertible notes and warrants had converted and exercised, respectively, a significant amount of them, increasing the Company’s total outstanding stock to 578,676,460. As result, there are no outstanding convertible notes or warrants to acquire the Company’s shares. In addition, during the present period, the Company cancelled other obligations and loans for up to US$ 40 million. After the end of the period, Fitch Rating improved the Company’s international debt rating from level B to B +, and the national debt rating from A- to AA-.